HENDERSON'S POPULATION 13,873 TWENTY-SIXTH year NEUTMUTT MAY BE DROPPED FOR SESSION Barkley Proposes Legislation For Lending Program Reconstruction Finance Corporation to Handle Funds, Which Will Be Repaid to Government; Liquidating Loans Be Made from Fund Washington, July 10.—(AP)—Sen ator Barkley of Kentucky, the Demo crat if leader, proposed legislation to day to carry out a new $2,800,000,- 000 lending program. The legislation sponsored by the administration called for the crea tion ot no new governmental agencies and most of the financing would be handled through the Reconstruction Finance Corporation. Sums would be made available as follows: Xon-federal public works, “of a character which will return to the federal governments its investment in time, S 350,000,000; self-liquidating express post roads and highway im provements, $750,000,000; rolling stock and ship equipment for lease to railroads, 85000,000,000; rural elec trification loans, $460,000,000, plus $40,000,000 already appropriated; self-liquidating farm tenancy loans, $500,000,000 plus not more than SIOO, 000.000 of funds already appropriat ed: loans through export-import bank, $100,000,000. The total did not include an al ready projected increase of $800,000,- 000 in borrowing authority of the (Continued on Page Five) Rapid Wage Rise of Cotton Worker Blight to South Washington, July 11.—(AP) —L. T. Barringer, manifest cotton mer chant, predicted today an economic blight for the South if cotton textile wages were increased too rapidly. Opposing a proposed 32 1-2 cent minimum for the entire cotton tex tile industry at a hearing before Ad ministrator Elmer F. Andrews, of the Wage Hour division, Barringer declared: “About 250 small southern mills with less than 15,000 spindles each are facing calamity.” Adoption of the proposed wage order on which Andrews has con ducted hearings for the last month would place small southern mill towns in a deplorable condition and force their inhabitants to move away Barringer added. Northern mills have supported the minimum in an effort to equalize wages between north and south. “There are some persons who ad mit an increase in the minimum wage to 32 1-2 cent would result in rapid elimination of many low wage mills.” He continued, ‘‘But they in sist this would be only a speeding up of a process that has been under way for some time.” “They Can’t Strike Against the Government” Lifting their standard-bearer on their shoulders, skilled WPA workeM walk out on theiNorth^^ach^N.^Tj airport project as thousands struck against the Government s elimination Rrehon Somervell (right) in the WPA. But, “They can’t strike against the Government,’’said Lieut Col. Brehon Somervell (right), jjfew York administrator, as the strike threatened >o sj. Utotiterann tlailii iltauatrh leased wire service ow IHE ASSOCIATED PR^ S P P 12 Hurt at Blaze At School of Deaf Morganton, July 10.—(AP)— Twelve persons were seriously hurt by flying timber and glass when a dynamite explosion shat tered the livestock barns of the North Carolina School for the Deaf after it caught fire from an undetermined source today. Many others among the huge crowd of spectators attracted by the fire suffered lesser injuries. They were given first aid treat ment in doctors’ offices and at their homes. Might Raise Lost Sub On Wednesday Only Two More Pon toons Remain To Be Fastened to Sunken Squalus, With Its Dead on Ocean Floor at Portsmouth, N. H. Portsmouth, N. H., July 10.—(AP) —A surge of air bubbles breaking the surface of the Atlantic has been set as a signal of success this week by a weary crew of navy men fifteen miles off this port—a signal that the sunken submarine Squalus finally has been lifted from the ocean floor, navy spokesmen said today. Navy spokesmen said today, the bubbles would signify that the seven pontoons being used for the raising were performing satisfactorily, blow ing out air bubbles as they rose, and that in a matter of minutes three of the pontoons would break the sur facet Only two pontoons remained to be attached to the Squalus and navy officials believed the first lift would be made Wednesday. SURVEY REPORT ON NEUSE RIVER ASKED Washington, July 10.(AP) —Majoi General Julian S. Schley, chief oi army engineers, ordered division en gineers today to prepare a survey re port on requested flood control im provements on the Neuse river it | North Carolina, particularly the sec -1 tion between Smithfield and Kinston. ER PUBLISHED Strikers Os WPA Going Back On Job Leaders Advise Work ers To Return After Walking Out in Pro test Over Longer Hours; Nightly Meet ings Are Advised Washington, July 10.—(AP) —A back to work movement _ by the workers security federation develop ed today in the widespread walkout of WPA laborers in protest against the new 130-hour month. Officials of the federation, re cently organized from local unions of WPA workers and the unemploy ed, advised those of its members who had quit work to return to their jobs. They urged the men, how ever, to continue to protest against the hours provision by holding night mass meetings, and by participating (Continued on Page Three) Three Long Term Negroes Escape . From Road Gang Raleigh, July 10. (AP) —Three long term Negro prisoners escaped from a road gang near morning and a posse with dogs sought them this afternoon. Penal superintendent Oscar Pitts said the escapees were: Ralph Hewitt, 28, serving 22 1-2 to 30 years for second degree murder, convicted in Catawba in 1933; Roscoe Mont gomery, 34, given 17 years in Guil ford in September 1937 for second degree murder; and Jimmy Walker, alias Johnny Morgan, 32, sentenced in Guilford for 5 years for second degree murder. Insurance For Cotton Talked Washington, July 10.—(AP)—Secre tary Wallace told the Congress today that it might well extend federal cor poration insurance to cotton “in view of the many hazards” that affect the production of cotton and the large number of farmers that must face these hazards”. A letter from Wallace to Senator Bankhead, Democrat, Alabama, was made public before the House Agri cultural Committee by Cecil A. John son, assistant manager of the fed eral corporation insurance corpora tion. Johnson appeared in support of a bill by Representative Fulmer, Dem ocrat, South Carolina, to extend to ?otton growers the same type of in surance now offered wheat farmers lgainst losses from drouth, flood, and other natural hazard. Similar legis ation has been approved by the Sen ate Agricultural Committee. IN THIS SECTION OF NORTH CAR ONLY DAILY NEWSPAPOLINA AND VIRGINIA. HENDERSON, N. C., MONDAY EVENING, JULY 10, 1939 Block Roosevelt on Neutrality JR ||| JUppI Led by Senator Hiram Johnson of California and William E. Borah of Idaho, a powerful isolationist block of 34 in the Senate pledged themselves to talk to death any change in existing neutrality, usi • “every hon orable and legitimate means at our command.” Leaving conference in Johnson’s office are (.. to r.): Sena tors Homer T. Bone, Borah, Gerald P. Nye, and Rusk Holt. Chamberlain Is Very Cautious In Discussing Danzig Problem London, July 10.—(AP)—Prime Minister Chamberlain declared today that an attempt to settle Danzig’s problem by “unilateral action, or ganied by surruptitious methods” would threaten Poland’s possible in dependence, which Britain is pledged to maintain. Chamberlain said that while the present status of the free city was “neither bacially unjust or illogical, it may be capable of improvement”, and added that “it may be that, in a clearer atmosphere, possible im provement could be discussed.” Recent occurrences in Danzig, Chamberlain said, had caused fears “that it is intended to settle her fu ture status by unilateral action, or- Protest By Danzig Made To Poland Three Polish Soldiers Alleged To Have Crossed Into City and Threatened Customs Officials Danzig, July 10.—(AP)—Free city authorities drafted a protest to Po land today against an alleged “viola tion of the frontier” by three Polish soldiers. Police charged that shortly before dawn two Polish privates and a non-commissioned officer crossed the frontier bridge over the Vistula river and menaced Danzig customs officials with a rifle. The customs officials, they said, held their ground and the Poles were persuaded to return to Poland. A Danzig Nazi newspaper described the incident as “Polish provocation.” It came in the wake of a defiant Nazi demand for removal of a Po lish military depot on the strategic Westerplatte, at the mouth of the Vistula. “Away with this Polish ammuni tion dump at our front door,” was, in effect, the demand made by Dan zig’s Nazi party leader, Albert Forster. GERMAN ARMY HEAD DEPARTING BERLIN Berlin, July 10. —(AP) Colonel General Walther von Brauchitsch, chief of staff of the German army, left Berlin today for a vacation of several weeks. lOoaihah FOR NORTH CAROLINA. Partly cloudy tonight; Tues day generally fair, except scat tered showers in extreme east portion. ganized by suruptitious methods.” “If the sequence of events should be in fact such as is contemplated in this hypothesis, the members will realize that the issue could not be considered as a purely local matter involving the rights and liberties of the Danzigers, but will at once raise graver issues affecting Polish exis tence and independence,” Chamber lain said. He then declared that “we have guaranteed to give assistance to Po land in the case of a clear threat to her independence, which she consid ers it vital to resist with her national forces, and we are firmly resolved to carry out this undertaking.” Cham berlain’s statement was intended to dispel any doubt in the minds of Ger $25,000,000 Paid On Unemployment Raleigh, July 10.—Receipts of the North Carolina Unemploy ment Compensation Fund have exceeded $25,000,000, while bene fit payments exceed $11,000,000 Chairman Charles G. Powell, of the State Commission, reveals. Receipts through July 6, amount ed to $25,039,594.05, including $24,628,441.48 in contributions from liable employers and $411,- 152,57 in interest on the balance in the United States Treasury. Benefit payment to unemployed and partially unemployed work ers through July 6 in about 18 months, reached $11,009,045.90, Mr. Powell said. This leaves a bal ance in the State fund of $14,030,- 548.15 as of July 6,‘which includes the pooled fund and the amount being credited to individual em ployer accounts under the merit rating plan. Sabath Seeks Restore Wage RateForWorks Washington, July 10.—(AP) • Representative Sabath (D., 111.) in troduced in the House today a bill to restore the prevailing wage rate on Works Relief projects. Elimination of the prevailing wage rate from the 1940 Works Relief ap propriation act caused the hours of some WPA workers to be increased to 130 hours per month and brought on a widespread strike of skilled WPA workers The American Federation of Lab or protested that elimination of the provision would tend to lower wages generally since its effect would be to make WPA employees work at much lower rates of pay William Green, president of the A. F. of L., said today the A. F. of L. would use all of its economic strength to compel the Congress to restore the old wage rates on WPA projects. Failure, he added, would mean -strikes and strikes.” . PUBLISHED EVERY AFTERNOON EXCEPT SUNDAY. man officials that Britain would stand by her pledge to Poland in the case of Danzig, and it was under stood to have had the advance ap proval of both Poland and France. Chamberlain’s cautious phrase ology had a double purpose—to avoid language which Germany might use to advantage in furthering her claims of encirclement, and to leave open the door to possible negotiations of a settlement of the Danzig question by Germany and Poland. The statement was intended to supplement the recent speech of For eign Secretary Lord Halifax, who as serted in strong terms that Britain was determined to resist aggression, but omitted specific reference to Danzig. Nation Pays Tribute To Sec. Swanson Washington, July 10.—(AP) Congress, President Roosevelt, and the Supreme Court joined today in final tribute to Claude A. Swanson, late secretary of the navy, with a State funeral in the Senate chamber. With bowed heads they heard the chaplain of the Senate and House perform the brief and simple funeral ceremony over the flag draped cas ket. Members of the Swanson family sat at one side of the flower-heaped rostrum, while Mr. Roosevelt took his seat directly in front, the mem bers of the cabinet on his left. SOLUTION SEEN IN PROBLEM AT DANZIG Berlin, July 10.—(AP) —A “rea sonable solution” of the Danzig pro blem is possible, some Nazi sources said today alter British Prime Min ister Chamberlain’s statement in the House of Commons on the Danzig situation. Daniels As Successor To Swanson Is Again Talked Daily Dispatch Bureau, in the Sir Waiter Hotel. Raleigh, July 10.—Death of Sec retary of the Navy Claude Swanson last Friday revived rumors going around State Capitol circles some weeks ago to the effect that Josephus Daniels, now ambassador to Mexico, would like very much to get back in the berth which he held during the Wilson administration. The ambassador’s are is regarded as almost, but not quite, insuperable obstacle to his appointment. The original story has it that the President would like very much to replace Mr. Daniels in Mexico, but that he did not want to offend his 8 PAGES TODAY FIVE CENTS COPY May Become First Order In January Prompt Consideration When Senate Meets Again Would Be As sured to President; Committee To Con sider Issue Tuesday Washington, July 10.—(AP) —As a compromise in the closely drawn Senate battle over neutrality legisla tion, a suggestion was put forward in some quarters today to make the controversial subject the first order of business whenever Congress re convenes. This would assure President Roose veil of prompt consideration, it was argued, should international devel opments cause him to call a special session before January. Administration forces were silent showdown meeting tomor row of the Senate Foreign Relations Committee. At that time, • opponents of the administration bill to repeal the arms embargo against warring nations are expected to move that no action be taken on neutrality pro posals during this congressional ses sion. The 23-member committee is sharp ly divided on the issue, and both sides waged a vigorous week-end (Continued on Page Five) Treasury Again Slashes Price On Foreign Silver Washington, July 10.—(AP) —The Treasury cut its foreign silver prices again today to set a price of 35c an ounce. This figure was sufficiently above the London silver market price of $33.84c to enable shipping of the metal across the Atlantic for the first time in about two weeks. The 35c re presented a reduction of 1.75 c from the last quoted price Friday. With the London market priced at 33.84 c and since it costs only about 1-2 of 1 per cent per ounce to ship silver across the ocean, it became possible to buy silver in London and ship it here for selling to the United States Treasury. Officials would not say what the disparity in the new Treasury ahd London prices meant, but some ob servers commented that the differ ence might mean that the treasury would intervene to stabilize the world’s silver market. McNutt Looms As Choice For One New Job Washington, July 10. (AP) Stephen Early, a White House secr retary, told reporters today he would “not be at all surprised” if, sooner or later, Paul V. McNutt was not found “somewhere in the adminis tration.” McNutt, former governor of In diana, and now American high com missiner of the Philippines, has been mentioned as a possible head for the new Federal security agency when he retires from his Philippine post. Lending additional credence to re ports he might be offered the job, was the fact that President Roosevelt invited him to a 15-minute confer (Continued on Page Five) good friend and former chief. On the other hand, the President knows from his experience with Mr. Dan iels during the World War just what the Daniels idea for development of a big navy is. Their ideas run along the same lines There is no doubt about the desire of Mr. Baniels to return to the Unit ed States. There is evidence that he would like to get back in time to take a part in the pre-convention presidential campaign next summer. But there hasn’t been found a man on capitol hill who would hazard the opinion that the ambassador is going to resign his Mexican post un less he can get a good job “back home.”